5 Questions
Which business form has the advantage of limited liability for its shareholders?
Corporation
In which business form are the profits taxed directly as income to the sole proprietor?
Sole Proprietorship
Which business form allows the owner to retain all the profits?
Sole Proprietorship
Which business form has a structure where one partner has managerial/operational control over the business and another partner's liability is limited to their capital contributions?
Limited Partnership
In which business form is the personal liability for all business debts/obligations a disadvantage?
Sole Proprietorship
Test your knowledge of major forms of business organizations such as sole proprietorship, general partnership, limited partnership, and corporation. Learn about the characteristics, advantages, and disadvantages of each form.
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